Singaporeans are naturally pleased that the International Court of Justice has ruled that Pedra Branca 'belongs to the Republic of Singapore'. They would have preferred if the ICJ had ruled the Middle Rocks belonged to Singapore too, but Pedra Branca was always the main issue in dispute. The confirmation that it is Singapore's means that its strategic and maritime import will remain unchanged.
The chief significance of the ICJ ruling, however, is that both Singapore and Malaysia had agreed to submit this dispute to the court - and abide by its decision. Not a single shot was fired in resolving this territorial dispute; it did not occasion an irretrievable breakdown in relations; dealings, exchanges and talks on a whole host of other matters did not screech to a halt because of this one dispute. Both countries submitted their legal arguments to an independent arbitrator and agreed to abide by the dictates of international law.
Upholding international law is crucial for small states. Both Malaysia and Singapore are small. Malaysia is less tiny than Singapore, but it too is small in the larger scheme of things. If there is no respect for international law, Malaysia would not have been able to go to the ICJ to settle its dispute with Indonesia over Sipadan and Ligatan islands. The ICJ ruled in Malaysia's favour in that instance. If international law had no standing, Malaysia would have been 'crushed' at its inception, as Sukarno intended it should. Malaysia survived and Sukarno fell from power. The existence of small states depends crucially on respect for international law. Since they don't have might on their side, they must lean on right.